The Depositories Act

Agreement between depository and participant

Services of depository

Surrender of certificate of security

Registration of transfer of securities with depository

Options to receive security certificate or hold securities with depository

Securities in depositories to be in fungible form

Rights of depositories and beneficial owner

Register of beneficial owner

Pledge or hypothecation of securities held in a depository

Furnishing of information and records by depository and issuer

Option to opt out in respect of any security

Act 18 of 1891 to apply to depositories

Depositories to indemnify loss in certain cases

Rights and obligations of depositories, etc


RIGHTS AND OBLIGATIONS OF DEPOSITORIES, PARTICIPANTS, ISSUERS AND BENEFICIAL OWNERS


(1) Without prejudice to the provisions of any
other law for the time being in force, any loss caused to the beneficial owner due to the negligence of the
depository or the participant, the depository shall indemnify such beneficial owner.

(2) Where the loss due to the negligence of the participant under sub-section (1) is indemnified by the
depository, the depository shall have the right to recover the same from such participant.

LAWGIST

# 16 Depositories to indemnify loss in certain cases